Rentier rulers govern via their ties to the US and EU military and financial institutions. They modernize their affluent enclaves and marginalize recently educated youth, who are confined to low paid jobs, especially in the insecure informal sector, centered in the streets of the capital cities. Neo-liberal privatizations, reductions in public subsidies (for food, unemployment subsidies, cooking oil, gas, transport, health, and education) shattered the paternalistic ties through which the rulers contained the discontent of the young and poor, as well as clerical elites and tribal chiefs. The confluence of classes and masses, modern and traditional, was a direct result of a process of neo-liberalization from above and exclusion from below. The neo-liberal “reformers” promise that the ‘market’ would substitute well-paying jobs for the loss of state paternalistic subsidies was false. The neo-liberal polices reinforced the concentration of wealth while weakening state controls over the masses.
The world capitalist economic crises led Europe and the US to tighten their immigration controls, eliminating one of the escape valves of the regimes – the massive flight of unemployed educated youth seeking jobs abroad. Out-migration was no longer an option; the choices narrowed to struggle or suffer. Studies show that those who emigrate tend to be the most ambitious, better educated (within their class) and greatest risk takers. Now, confined to their home country, with few illusions of overseas opportunities, they are forced to struggle for individual mobility at home through collective social and political action.
Equally important among the political youth, is the fact that the US, as guarantor of the rentier regimes, is seen as a declining imperial power: challenged economically in the world market by China; facing defeat as an occupying colonial ruler in Iraq and Afghanistan; and humiliated as a subservient and mendacious servant of an increasingly discredited Israel via its Zionist agents in the Obama regime and Congress. All of these elements of US imperial decay and discredit, encourage the pro-democracy movements to move forward against the US clients and lessen their fears that the US military would intervene and face a third military front. The mass movements view their oligarchies as “third tier” regimes: rentier states under US hegemony, which, in turn, is under Israeli – Zionist tutelage. With 130 countries in the UN General Assembly and the entire Security Council, minus the US, condemning Israeli colonial expansion; with Lebanon, Egypt, Tunisia and the forthcoming new regimes in Yemen and Bahrain promising democratic foreign policies, the mass movements realize that all of Israel’s modern arms and 680,000 soldiers are of no avail in the face of its total diplomatic isolation, its loss of regional rentier clients, and the utter discredit of its bombastic militarist rulers and their Zionist agents in the US diplomatic corps (Financial Times 2/24/11, p. 7).
The very socio-economic structures and political conditions which detonated the pro-democracy mass movements, the unemployed and underemployed youth organized from “the street”, now present the greatest challenge: can the amorphous and diverse mass becomes an organized social and political force which can take state power, democratize the regime and, at the same time, create a new productive economy to provide stable well- paying employment, so far lacking in the rentier economy? The political outcome to date is indeterminate: democrats and socialists compete with clerical, monarchist, and neoliberal forces bankrolled by the U.S.